Fraser & Neave Holdings Bhd Annual Report 2021

CARING FOR OUR STAKEHOLDERS We firmly believe that economic value extraction should not be at the expense of society. This underlines our investments into ESG, which we do not approach as being separate from our operations but integral to it. Underlining our commitment to contributing towards a better society, this year, we conducted our inaugural Human Rights Due Diligence process to understand potential human rights issues faced by stakeholder groups across our value chain. This resulted in the development of relevant policies and procedures which will help us ensure the rights of all our stakeholders are respected. People’s health and well-being are taken seriously at F&NHB, given that ‘we are what we eat/ drink’. This has seen us continuously reduce the sugar content of our beverages while enhancing their health benefits by incorporating nutritional ingredients. We have achieved a significant reduction, cutting the sugar content in our total beverages by 61 per cent since 2004. More than 90 per cent of our ready-to- drink products sold today have less than 5g sugar per 100ml. This year, we directed our brand communications on promoting an active lifestyle and optimal hydration. To ensure that the well-being of Malaysians are protected during this critical period, we further encouraged the public to stay hydrated by distributing more than one million bottles of 100PLUS at major vaccination centres such as Putra World Trade Centre (PWTC), Malaysia International Trade and Exhibition Centre (MITEC) and PPV Bukit Jalil via the # HidratkanDiriSihatkanBadan campaign. Responding to communities’ needs, the Group distributed over two million products to various beneficiaries nationwide in FY2021, including food banks and non-governmental organisations (NGOs). During Ramadan, F&N products and daily essentials were distributed to 20,000 beneficiaries nationwide, including 100 underprivileged homes through the ‘ Keberkatan Plus Plus’ programme. In Thailand, we took care of our community of 20,000 hawkers by giving them various F&N products for encouragement during this di!cult period. Meanwhile, we worked closely with government agencies to expedite the vaccination programme for our people and supply chain community through our employees’ vaccination programme. Our employees also receive three days of additional paid leave to attend to their vaccination. A BETTER SOCIETY We care for the environment because it has a direct impact on society’s well-being. All our capital expenditure projects have their environmental objectives apart from achieving operational and cost e!ciencies. In April 2020, we commissioned the 1MWp solar panelled roof of our plant in Rojana. Meanwhile, we are installing perhaps one of the biggest rooftop solar photovoltaic (PV) systems in Malaysia at our Shah Alam, Pulau Indah and Bentong plants, with a total capacity of 10MWp. Once completed in 2022, we will replace 20 per cent of our electricity needs with clean energy in Malaysia. In fact, solar power generated in Shah Alam will be su!cient for our entire 100PLUS direct line production, while that in Pulau Indah will be able to account for all our pasteurised products. Given the nature of our business, waste management is another key sustainability area for us. Over the years, we have been reducing the volume of materials used in packaging. Today, we have committed to having 100 per cent recyclable packaging and 25 per cent recycled content in our beverage and dairy product packaging by 2025. Since the F&N school recycling programme’s inception in 2007, 756 schools nationwide have been involved and a total of 4,760 tonnes of recyclable waste has been saved from going into landfills. The programme this year was very much scaled-down due to school closures. With the gradual reopening of schools, we aim to expand the programme to more schools and extend 5R awareness to the community once the situation permits. CIRCULARITY & ENVIRONMENTAL PROTECTION Fraser & Neave Holdings Bhd ! Annual Report 2021 Key Messages 035